Hungarian real estate prices have been out of control recently, but now there are signs of a quiet price decline.Continue reading
Although most people have been reading about how property prices in the Hungarian capital have plummeted recently, at the same time a recent survey has revealed that buyers are facing skyrocketing prices at the hugely popular Lake Balaton.
According to an article in Világgazdaság, an average property in Zala County in western Hungary, now costs 10 million forints more than two years ago. The western corner of Lake Balaton belongs to this county, which is pushing up prices in the region. As it turns out, buyers in the county’s property market spent 42 percent more this year than in 2020.
One of the most prominent of the settlements along Lake Balaton is Keszthely in Zala County, where there is ongoing investment and a large number of newly built properties under construction. In addition, the multi-billion renovation of the Hotel Helikon on the beach has recently been completed, further raising the quality of the settlement.
Currently, the average price per square meter of newly built projects for sale in Keszthely exceeds HUF 1.8 million (EUR 4,420). It is worth noting that in Budapest, by contrast, the price per square meter of such properties is around HUF 1.4 million (EUR 3,440). At the same time, the price per square meter of second-hand properties is already at HUF 1 million (EUR 2,450).
Zala County is the fourth least populous county in Hungary, the sixth smallest in terms of area, and the fifth lowest in terms of population density. However, thanks to its small village structure, it is among the top five in terms of the number of settlements, with the third largest number of settlements in the country.
Average prices per square meter in the western county are clearly being driven up by the increasing popularity of holiday villages and the growing number of people looking for newly built properties at Lake Balaton.
According to Károly Benedikt, Head of PR and Analysis at Duna House, a Hungarian real estate agency, Zala County is also experiencing a wave of people moving out to the agglomeration, and the pandemic has made properties in holiday villages more sought after.
The expert also said that people interested in new properties at Lake Balaton often book apartments from the drawing board. The reasons for this include excellent energy efficiency, the safety and comfort offered by the high technical content, and the proximity to Lake Balaton.
Featured photo via Pixabay